Law experts poke holes in the Competition Commission’s findings

JOHANNESBURG – Competition law experts have questioned the judgment against Babelegi Workwear and Industrial Supplies CC for excessive pricing and abuse of market dominance.

The experts yesterday poked holes in the Competition Tribunal’s first contested excessive pricing case in the context of the coronavirus (Covid-19) pandemic.

Stellenbosch University Professor Phillip Sutherlands asked whether the tribunal’s necessity was sufficient to find dominance given that there was an emergency situation created by the rising demand of face masks.

“It would be important to determine the relationship between the regulations and the Competition Act itself,” Sutherland said. “The methodology used to determine the fine may not stand on appeal.”

The tribunal found the Pretoria-based company guilty of inflating the prices of face masks between January 31 and March 5 this year, and fined it R76 000.